CyanConnode share price rises as oversubscribed placing raises £2.0 million (LON:CYAN)


CyanConnode Holdings plc (LON:CYAN), a world leader in narrowband radio frequency (RF) smart mesh networks, has announced that, further to its announcement at 7.00 a.m. today, it has successfully completed a placing of new Ordinary Shares, by way of an accelerated bookbuild, which is now closed, and a subscription of new Ordinary Shares. The Placing was oversubscribed.

CyanConnode share price rose over 19% on the news.

The Fundraising raised, in aggregate, £2.0 million (before expenses) through the placing of 14,285,718 new Ordinary Shares at an Issue Price of 14 pence per new Ordinary Share. The Issue Price represents a discount of approximately 1.8 per cent. to the closing market price of 14.25 pence per existing Ordinary Share on 24 March 2022, being the last business day prior to the announcement of the Fundraising.

Directors’ Dealings

Pursuant to the Fundraising, John Cronin, Heather Peacock, David Johns-Powell and Chris Jones, each being a Director of the Company, have participated in the Fundraising as follows:

DirectorRoleManner of participationNo. of existing Shares% of existing Share CapitalNumber of Shares subscribed for in FundraiseNo. of Shares held post-admission% of enlarged Share Capital
John CroninExecutive ChairmanSubscription5,346,4642.41%500,0005,846,4642.47%
Heather PeacockCFO and Company SecretaryPlacing736,4020.33%142,857879,2590.37%
David Johns-PowellNon-Executive DirectorSubscription16,117,3607.26%357,14216,474,5026.97%
Chris JonesNon-Executive DirectorSubscription57,5560.03%78,571136,1270.06%

John Cronin, Heather Peacock, David Johns-Powell and Chris Jones, as Directors of the Company, are accordingly classified as related parties under the AIM Rules for Companies and their participation in the Fundraising therefore constitutes a related party transaction pursuant to Rule 13 of the AIM Rules for Companies.

Accordingly, Peter Tyler, being the independent director, considers, having consulted with Arden Partners plc, the Company’s Nominated Adviser, that the terms of the Directors’ participation in the Fundraising is fair and reasonable insofar as Shareholders are concerned. 

Admission to trading on AIM

Application will be made to the London Stock Exchange for the admission of the new Ordinary Shares to trading on AIM. It is expected that Admission will become effective and dealings in the new Ordinary Shares will commence at 8.00 a.m. on or around 30 March 2022.

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Total voting rights

Following the Admission, the Company will have 236,309,035 Ordinary Shares in issue. The Company holds no Ordinary Shares in Treasury. This figure may be used by Shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in the Company under the FCA’s Disclosure Guidance and Transparency Rules.

Capitalised terms used but not otherwise defined in this announcement shall have the same meanings ascribed to such terms in the Company’s announcement at 7.00 a.m. today unless otherwise specified.

John Cronin, Executive Chairman, CyanConnode, commented:

“As we have recently announced in our trading update in January, the nine-month period to the end of December 2021 has shown record revenues and the full year revenues to be our highest to date, showing the continued growth of the Company. We expect this growth to continue. The funds raised by this placing allow us to maintain momentum and win some of the large opportunities being presented to us at this time. On behalf of the Board, I would like to thank all shareholders who have participated in this fundraising for their continued support.”

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CyanConnode Holdings plc

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Find more news, interviews, share price & company profile here for:
CyanConnode Holdings plc

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